When it comes to government funding there are a lot of factors that a business owner needs to keep in mind and consider before they apply.
As an entrepreneur you need to know your small business, have a well developed business plan, know what you need funding for and how much you need.
Other factors such as your location, your industry and credit score can also have an impact on your potential for government funding.
That being said, not everybody should apply for government funding. And not for the fact that you may not be eligible due to factors mentioned above but for other reasons.
There are certain entrepreneur types that simply should not be applying for government funding. Here are the two types:
#1: Small Business Owners Who Don’t Need The Funding
Not everyone needs funding. Just because money is on the table doesn’t mean that you actually need it or that you should be trying to take it.
For some business owners having the extra cash may look like a good opportunity but in reality it can do more bad then good.
Over spending, or thinking that you have extra money can turn your business into a financial sinking ship.
This doesn’t apply to everyone but those small business owners who believe that they need to spend every dollar to improve their business constantly.
#2: Small Business Owners Who Believe They Deserve Funding
The other type of entrepreneur that shouldn’t be applying for government funding is that person who believes, no matter what, that they deserve to get the funding from the government.
Simply because you are Canadian, have a small business and pay taxes doesn’t mean that you are instantly able to apply for government funding.
These types of entrepreneurs often apply to anything and everything just to get what they are “owed”, and more often than not, they apply for funding that isn’t right for them which simply wastes a lot of time, resources and tax payers dollars.
By not following the requirements and instructions set forth by the funding agencies, they don’t apply to the correct programs.
This hurts other business owners who may have tried to apply and couldn’t due to filled deadlines.
Again, funding may not be for every entrepreneur but if you believe you dont fit into the two mentioned above, go ahead and start your funding search as soon as possible.
Do you need help with funding? Our business consultants can help assess sources of funding you may qualify for.